Customers who donB次元官网网址檛 work in the building that houses Kento KitayamaB次元官网网址檚 tiny cafe near VancouverB次元官网网址檚 Gastown neighbourhood better be prepared to settle for takeout. He can only take orders through a little window facing the sidewalk.

Iktsuarpok Coffee Stand, which opened late last month, has no seating and sparse furnishings. Kitayama could likely stand in the middle of the roughly 17-square-metre shop and reach out to touch the sink, refrigerator and shelving unit, counter, and espresso machine that mark the shopB次元官网网址檚 boundaries without moving.

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The cafe reminds the co-owner of how tobacco shops sold goods in his native Japan, but also suits his budgetary constraints. Kitayama and other business owners challenged by high rents in CanadaB次元官网网址檚 two most expensive housing markets are turning to creative solutions in tiny spaces to open cafes that otherwise might not be profitable.

For a typical 85-square-metre cafe space in the city, Kitayama said heB次元官网网址檇 likely pay about $3,000 monthly. ThatB次元官网网址檚 unaffordable for his new business.

Robust data on average food retail lease prices in Canada doesnB次元官网网址檛 exist, but some figures help shape a sense of the market.

Last October, TorontoB次元官网网址檚 average commercial lease rate per square foot was $21.31, according to the Toronto Real Estate Board B次元官网网址� down 1.1 per cent from the same month in 2017. But that includes all retailers, and the data is part of only 40 total lease transactions that month where the price was disclosed.

Three of the four most expensive main streets in Canada are in Toronto and Vancouver, according to an annual report from Cushman & Wakefield. The company tracks nearly 450 of the top retail streets in 65 countries. In June 2018, rents on TorontoB次元官网网址檚 Bloor Street were $300 per square foot and $100 on Queen Street West. On VancouverB次元官网网址檚 Robson Street rents averaged $183.

High and rising rents have caused several restaurants in both cities to shutter their doors in recent years.

Wild Rice Market Bistro in New Westminster, B.C., served its last patrons on New YearB次元官网网址檚 Eve.

B次元官网网址淲e are all familiar with our high cost of living which is reflected in higher rents, increasing food costs and the difficulty in recruiting and retaining staff,B次元官网网址� proprietor Andrew Wong wrote in a note to customers, adding the restaurant B次元官网网址渋s no longer viable in our current economic climate.B次元官网网址�

Lease prices also pose a big barrier to entry for new hopefuls like Kitayama, who have turn to smaller-scale operations in an effort to trim start-up costs.

While cheaper rent may be part of the business plan, these spaces can be a hit with customers because of their unique forms.

In the social-media age where Instagrammers hunt for the perfect shot of outrageous food or compelling backdrops, a pint-sized coffeeshop can generate buzz and draw a crowd.

B次元官网网址淧eople love it,B次元官网网址� said Jake Holton, who co-owns Toronto coffeeshop The Nugget, adding several people stop by daily and coo over the Lilliputian cafe.

B次元官网网址淧eople seem to love the novelty of just having like a little walk-up counter.B次元官网网址�

Aleksandra Sagan, The Canadian Press

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